Morning News Call – India, March 13

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FACTORS TO WATCH
10:15 am: Prime Minister Narendra Modi to inaugurate End TB Summit in New
Delhi.
11:00 am: Budget session of parliament continuesin New Delhi.
11:30 am: River Development Minister Nitin Gadkari to inaugurate conference
on Command Area Development in New Delhi.
12:30 pm: Hindustan Aeronautics to announce its upcoming IPO details in
Mumbai.
12:30 pm: Commerce Minister Suresh Prabhu to inaugurate National Conference
on Counterfeiting and Role of Enforcement Agencies in New Delhi.
LIVECHAT - COMMODITIES CORNER
Commodities Corner with Nik Kalsi and Phil Carr, technical analysts and
co-founders of the Gold and Silver Club at 1630 IST. To join the conversation,
click on the link: here
INDIA TOP NEWS
• Retail inflation eases for second straight month in February
Retail inflation eased for the second straight month in February but
remained above the 4 percent medium-term target of the Reserve Bank of India,
strengthening views it will hold rates steady at its April meeting rather than
raise them.
• Regulator orders footwear maker Bata to probe suspected results leak
The market regulator ordered Bata India on Monday to carry out an internal
probe into the suspected leak of unpublished financial data and asked the
footwear maker to strengthen its handling of such data.
• Andhra Bank sinks to 15-year low amid fraud probe involving ex-director
Andhra Bank, already hurt by an industry-wide spillover of a huge alleged
fraud at another lender, saw its shares slide to a 15-year low on Monday after
authorities filed new complaints against a former director in a separate
long-running case.
• Gupta firms lose bid to have bank Baroda remain in S.Africa
A group of almost 20 South African companies linked to the Gupta family have
lost a court bid which sought to have India's Bank of Baroda, the last lender
doing business with the firms, maintain operations in the country, court
documents showed on Monday.
• Tata Sons selling $1.25 billion worth of TCS shares - term sheet
Tata Sons is set to sell on Tuesday a roughly 1.5 percent stake in its
flagship Tata Consultancy Services for about $1.25 billion.
• Jet Airways, Air France-KLM, Delta consortium may bid for Air India - PTI
in Mint
A consortium of Jet Airways (India), Air France and Delta Air Lines is
looking to bid for state-run carrier Air India, the Mint newspaper reported
citing the Press Trust of India.
• RCom says to appeal court order on sale of tower, fibre assets
Reliance Communications will appeal a court order that stays the sale of
some telecom assets of one of its units, the company said in a statement on
Monday.
• India grounds 11 Indigo, GoAir jets after P&W engine shutdowns
A series of in-flight engine failures prompted India's aviation regulator on
Monday to order the immediate grounding of Airbus A320neo aircraft fitted with
certain Pratt & Whitney engines.
GLOBAL TOP NEWS
• U.S. President Trump halts Broadcom takeover of Qualcomm
U.S. President Donald Trump on Monday blocked microchip maker Broadcom's
proposed takeover of Qualcomm on national security grounds, ending what would
have been the technology industry's biggest deal ever amid concerns that it
would give China the upper hand in mobile communications.
• U.S. Republicans shut down House Russia probe over Democratic objections
U.S. House Intelligence Committee Republicans said on Monday the panel had
finished investigating Russia and the 2016 U.S. election, and found no collusion
between U.S. President Donald Trump's campaign and Moscow's efforts to influence
the vote.
• White House expects N.Korea summit to happen despite Pyongyang's silence
The White House said on Monday it fully expected an unprecedented meeting
between U.S. President Donald Trump and North Korean leader Kim Jong Un to take
place, if North Korea stuck to its promises, even though Pyongyang has yet to
comment publicly on the possibility of a summit.
LOCAL MARKETS OUTLOOK
(As reported by NewsRise)
• The SGX Nifty Futures were at 10,427.00, little changed from previous
close.
• The Indian rupee is likely to open higher against the dollar after
consumer prices in Asia’s third-largest economy moderated more than expected.
• Indian government bonds are likely to gain after inflation slowed to a
four-month low in February and as New Delhi announced a buyback of bonds for
later this week.The yield on the benchmark 7.17 percent bond maturing in 2028 is
likely to trade in 7.58 percent - 7.63 percent band today.
GLOBAL MARKETS
• The S&P 500 and the Dow Jones Industrial Average slumped on Monday as the
U.S. tariffs signed into law last week by President Donald Trump weighed on
industrials, though gains in tech stocks boosted the Nasdaq.
• Asian stocks stalled as Wall Street shares lost steam, while the dollar
sagged on the back of declining U.S. yields.
• Increased supply did not quell demand for three- and 10-year Treasury
notes auctioned Monday, a positive sign for the heavy issuance expected in the
year ahead.
• Oil prices fell, extending falls from the previous day, as the relentless
rise in U.S. crude output weighed on markets.
• Gold prices inched up as the dollar remained subdued and as investors
waited for U.S. consumer price data later in the day to gauge the outlook for
inflation and Federal Reserve policy.
CLOSE FII INVESTMENTS EQUITIES DEBT
PNDF spot 64.97/65 March 12 $57.71 mln -$226.17 mln
10-yr bond yield 7.67 pct Month-to-date $306.4 mln -$997.34 mln
Year-to-date $414.26 mln $93.56 mln
For additional data:
India govt bond market volumes
Stock market reports
Non-deliverable forwards data
Corporate debt stories [IN CORPD]
Local market closing/intraday levels [IN SNAPSHOT]
Monthly inflows [INFLOWS RTRS TABLE IN]
($1 = 64.9800 Indian rupees)
(Compiled by Swathi Nair in Bengaluru)